China's CSI 300 index closes up 0.7% at 4,034.49

China's CSI 300 index closes up 0.7% at 4,034.49

China's CSI 300 index closed up 0.7% at 4,034.49 on July 2, 2025, following a report from Bridgewater Associates that highlighted the investment firm's increased optimism in Chinese stocks. Bridgewater Associates, known for its All Weather Plus strategy, has become more bullish on Chinese equities after the government's stimulus efforts in response to U.S. tariffs boosted its onshore China fund by 14% in the first half of the year [1].

The firm's second-quarter investor letter indicated that its view on Chinese equities has shifted to "moderately increase" relative to its All Weather strategic allocations. This change is attributed to the supportive policy stance and relatively low valuations in the Chinese market. Bridgewater's onshore China unit noted that the government's decisive actions in April to stabilize the economy and capital markets bolstered equities and bonds, while gold rallied amid geopolitical uncertainties [1].

The All Weather Plus strategy, which diversifies across various asset classes, has outperformed many local rivals, contributing to a 40% increase in onshore assets last year to more than 55 billion yuan ($7.7 billion). This strategy's onshore fund gained 5.8% in the second quarter, expanding the first-half return to 13.6% [1].

Bridgewater's active management generated a 2.3% gain in the second quarter, adding to a 3% contribution in the first quarter. Local hedge funds using multi-asset strategies delivered an average 7.3% in the first half, according to Shenzhen PaiPaiWang Investment & Management Co. The 51 hedge funds managing more than 10 billion yuan that are tracked by the data provider made an 11% average return. The CSI 300 Index was flat for the period, though the main Hong Kong gauge gained 20% [1].

Meanwhile, in the cryptocurrency market, Bit Mining, a bitcoin mining company, plans to raise $300 million to transition into the Solana ecosystem. The company's stock price surged 300% in pre-market trading following the announcement. The funds will be used to build a Solana-based treasury, purchase more tokens, and enhance network capabilities. Bit Mining aims to adopt a long-term holding strategy and convert some of its existing cryptocurrency holdings into SOL [2].

References:
[1] https://www.bloomberg.com/news/articles/2025-07-15/bridgewater-grows-more-bullish-on-china-stocks-after-14-return
[2] https://www.fxleaders.com/news/2025/07/10/btcm-bit-mining-soars-3x-on-bold-solana-pivot-300-million-treasury-plan/